Being slow is never good for any business.

And to close deals faster, you need to execute the contracts faster.

Sounds a bit different from what I usually write, but here's the reason why!

A very common problem businesses face is:

It takes too long for them to execute contracts with their client or any other party.

If you are selling enterprise products or solutions.

Or anything custom like a website.

There's a high chance you are already using a custom contract.

Now how fast you execute that contract is important.

But the delays happen because of multiple reasons.

The final approver could be too busy.

Or the contracts get lost in the contract management process due to multiple back and forth.

The problem with this is:

The longer a contract sits unsigned, the greater the chances of you losing a project and facing issues.

Here are 3 things that could happen because of it: 

(1) Disputes

Many times parties start working on an oral deal only, while the contract is still at the negotiation stage.

What I mean by that is - before anything gets signed, the work begins.

This is because no business wants to lose clients.

However, this creates its own set of problems too.

If something doesn’t go as planned, neither party can fall back on the contract terms to resolve the issue.

Because there's no written agreement in the first place.

(2) Lost Revenue

Time is money, literally.

And if a contract takes a lot of time to sign, then you could potentially lose the deal.

The reason for that is - sometimes a bad contract requires more negotiations and amendments.

The other side of this situation - when something takes too long to negotiate, people just "agree with everything" and execute the contract.

The business loses the solid ground it was standing on because of it.

And the project is tilted in the favor of the client, instead of being fair to both parties.

(3) Competition in the market

There is no lack of competition in the market and establishing a loyal customer base is difficult.

Because of this very reason, customer retention becomes important.

Delayed process causes frustration for the customer and they might even consider a competitor.

And this gives your competitor an opportunity to steal your business.

That's it!

But hold up.

After reading this, don't just jump on ChatGPT to get a quick contract and send it forward to the client.

This could backfire too.

Most of the time, the generated agreement is not deal-specific.

And the client's attorney will definitely make changes.

Or in worst cases, advise the client against signing the contract.

And ultimately, this creates a bad impression for your business.

So do this instead:

(1) Hire a Contracts Lawyer

(2) Give as much information as you can about the deal

(3) Ask for the delivery time for the first contract draft

Do this and work with someone who won't take a month.

Good luck.

P.S. What's the longest time taken by your Lawyer to deliver a Contract Draft?

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